Wednesday, March 08, 2006

st: how to choose between geographical identifiers??

Hi Statalist,

I have a bunch of wage observations and all the observations are attached with two geographical identifiers - local authority districts (LADs) and travel to work areas (TTWAs). I want to find out how wages vary across different areas in UK.

Now I can run wage estimations using either one of the two categorical variables as explanatory variable. I would however like to find out which categorical variable fits the data better. How do I compare the two sets of results given that the explanatory variables are quite different?

Could you recommend what kind of tests I should use and if you are a geographer, could you tell me are there any criteria that are used by geographers to choose between different definitions of geographies (regions, as opposed to LADs, as opposed to TTWAs, etc.)

Many thanks in advance!!

Regards, Ada

-- Ada Ma Research Fellow Health Economics Research Unit University of Aberdeen, UK. Tel: +44 (0) 1224 553863 Fax: +44 (0) 1224 550926

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